Globalization, Divergence and Stagnation

Gino Gancia

No 198, Working Papers from Barcelona School of Economics

Abstract: In a world where poor countries provide weak protection for intellectual property rights, market integration shifts technical change in favor of rich nations. Through this channel, free trade may amplify international income differences. At the same time, integration with countries where intellectual property rights are weakly protected can slow down the world growth rate. A crucial implication of these results is that protection of intellectual property is most beneficial in open countries. This prediction, which is novel in the literature, finds support in the data on a panel of 53 countries observed in the years 1965-1990.

Keywords: economic growth; north-south trade; intellectual property rights; cross-country income differences (search for similar items in EconPapers)
JEL-codes: F14 F43 O33 O34 O41 (search for similar items in EconPapers)
Date: 2015-09
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Citations: View citations in EconPapers (10)

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Related works:
Working Paper: Globalization, Divergence and Stagnation (2004)
Working Paper: Globalization, Divergence and Stagnation (2003)
Working Paper: Globalization, Divergence and Stagnation (2003)
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